HomeMy WebLinkAbout2001-12-05 Council Minutes} AGENDA
KENAI CITY COUNCIL -REGULAR MEETING
DECEMBER 5, 2001
7:00 P.M.
KENAI CITY COUNCIL CHAMBERS
http: / /www.ci.kenai.ak.us
ITEM A: CALL TO ORDER
1. Pledge of Allegiance
2. Roll Call
3. Agenda Approval
4. Consent Agenda
*All items listed with an asterisk (*) are considered to be routine and non-
controversial by the council and will be approved by one motion. There will be no
separate discussion of these items unless a council member so requests, in which case
the item will be removed from the consent agenda and considered in its normal
sequence on the agenda as part of the General Orders.
ITEM B: SCHEDULED PUBLIC COMMENTS (10 minutes)
1. Robert Ruffner -- Kenai River Water Quality Results
ITEM C: PUBLIC HEARINGS
l . Resolution No. 2001-91 -- Authorizing the City Manager to Enter Into a
Restaurant Concession Agreement for the Kenai Municipal Airport.
2. *2002 Liquor License Renewal -- Kenai Country Liquor/Package Store
ITEM D: COMMISSION / COMMITTEE REPORTS
1. Council on Aging
2. Airport Commission
3. Harbor Commission
4. Library Commission
5. Parks 8, Recreation Commission
6. Planning 8, Zoning Commission
7. Miscellaneous Commissions and Committees
a. Beautification Committee
b. Kenai Convention & Visitors Bureau Board
C. Alaska Municipal League Report
ITEM E: MINUTES
1. *Regular Meeting of November 21, 2001.
� ITEM F: CORRESPONDENCE
OLD BUSINESS
ITEM H: NEW BUSINESS
1. Bills to be Paid, Bills to be Ratified
2. Purchase Orders Exceeding $2,500
3. Discussion -- Schedule Joint Work Session with Airport Commission to
Further Discuss Airport Operations and Taxation.
4. Discussion -- Update of City Logo
5. Discussion -- Proposed Discounted Pay -Off of Deed of Trust Notes in
McLane Bankruptcy Cases.
6. Discussion -- Schedule City Clerk, City Attorney and City Manager
Evaluations.
ITEM I:
1.
2.
3.
4.
5.
6.
7.
1.
2.
ADMINISTRATION REPORTS
Mayor
City Manager
Attorney
City Clerk
Finance Director
Public Works Managers
Airport Manager
DISCUSSION
Citizens (five minutes)
Council
EXECUTIVE SESSION -- Possible executive session to discuss proposed discounted
pay-off of Deed of Trust notes in McLane bankruptcy cases.
ITEM K: ADJOURNMENT
KENAI CITY COUNCIL - REGULAR MEETING
DECEMBER 5, 2001
7:00 P.M.
KENAI CITY COUNCIL CHAMBERS
http: / /www.ci.kenai.ak.us
MAYOR JOHN J. WILLIAMS, PRESIDING
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ITEM A: CALL TO ORDER
Mayor Williams called the meeting to order at approximately 7:02 p.m. in the Council
Chambers in the Kenai City Hall Building.
A-1. PLEDGE OF ALLEGIANCE
Mayor Williams led those assembled in the Pledge of Allegiance.
A-2. ROLL CALL
Roll was taken by the City Clerk. Present were: Moore, Porter, Bannock, Jackman,
Williams, Bookey, and Swarner.
A-3.
AGENDA APPROVAL
There were no changes to the agenda.
MOTION:
Councilwoman Swarner MOVED to approve the agenda as presented and Councilman
Bookey SECONDED the motion. There were no objections. SO ORDERED,
A-4. CONSENT AGENDA
There were no changes to the consent agenda.
MOTION:
Councilwoman Swarner MOVED to approve the consent agenda as presented and
Councilman Bookey SECONDED the motion. There were no objections. SO
ORDERED.
ITEM B: SCHEDULED PUBLIC COMMENTS
B-1. Robert Ruffner -- Kenai River Water Quality Results
Ruffner gave a presentation on preliminary data received through a Kenai River
Watershed Water Quality study prepared by the Kenai River Watershed Forum. He
reported, in 1998 a framework for water quality monitoring was developed and in
KENAI CITY COUNCIL MEETING
DECEMBER 5 2001
PAGE 2
1999, funding was received and the monitoring program began. Ruffner added, 13
entities were involved in the monitoring program partnership, including the cities of
Kenai and Soldotna; 20 sites were monitored from Cooper Landing to Cook Inlet; the
information was not meant to be regulatory; and he emphasized the information was
preliminary.
Ruffner stated it was important to know there are problems with seasonally high
amounts of fecal coliforms and hydrocarbons, but it was not known what was causing
the high amounts, and it warranted additional investigation. He also noted, the
collection of information and study would continue for five years, however the
immediate next step was to determine a timeframe when the amounts get high in
order to see if there are easy fixes and try to implement them. Ruffner added, because
state standards were not being met, agencies would probably want to investigate the
issue closer.
Ruffner thanked the cities for being involved and stated he thought it was in the best
interest of the city to stay involved. He added, when the agencies meet and begin
discussing what to do in the Spring, he suggested the city have a presence.
Bookey agreed the city should stay involved as the appearance of the hydrocarbons
and coliforms in the lower river probably meant there were more problems upriver
than downriver. Williams agreed and added, he didn't want the information to be used
against the commercial fishing industry, the Cunningham Park program, or the
coastal trail project.
ITEM C: PUBLIC HEARINGS
C-1. Resolution No. 2001-91 -- Authorizing the City Manager to Enter Into a
Restaurant Concession Agreement for the Kenai Municipal Airport.
Councilwoman Porter MOVED to approve Resolution No. 2001-91 and Councilman
Bannock SECONDED the motion.
Linda Petrey (Lessee) -- Petrey requested the contract be approved and entered into
early in order for them to be open prior to the holidays. She noted, the current lessee,
Schnelting, wanted to vacate the premises on December 11 and they wanted to start
their contract on December 12.
Swarner noted the monthly lease rate proposed by Petrey was $1,550 through
December 31, 2006 and asked if Petrey felt they would be able to make that payment
as other lessees had come to council requesting their payments be cut, which Swarner
added, she would not support. Petrey stated they were confident they would be able to
cover the costs of the lease payments.
l KENAI CITY COUNCIL MEETING
DECEMBER 5, 2001
PAGE 3
VOTE:
Moore
Yes
Porter
Yes
Bannock
Yes
Jackman
Yes
Williams
Yes
Booke
Yes
Swarner
Yes
MOTION PASSED UNANIMOUSLY.
MOTION:
Councilwoman Porter MOVED to have Administration allow the contract to take effect
December 12, 2001. Councilman Bannock SECONDED the motion and requested
UNANIMOUS CONSENT. There were no objections. SO ORDERED.
C-2, 2002 Liquor License Renewal -- Kenai Country Liquor/Package Store
Approved by consent agenda.
ITEM D: COMMISSION / COMMITTEE REPORTS
D-1. Council on Aging -- No report.
D-2. Airport Commission -- No report.
D-3. Harbor Commission -- Councilman Bookey reported the Commission
would be meet again on Monday, December 10, 2001.
DA, Library Commission -- Councilman Moore reported the Commission met
on December 4 and discussed the following:
• Expansion plans -- Architect Bill Kluge, Public Works Manager La Shot
and Building Official Springer also attended the meeting and discussed the building
plans. The Commission decided to support a two-story plan (second story unfinished,
bottom floor finished) and passed a motion to move forward and have the architect
prepare a cost estimate for the project.
• The library's annual open house is scheduled on December 13.
• The Commission requested their January meeting be cancelled in
January as it would fall on January 1. Council had no objections.
D-5. Parks & Recreation Commission -- Councilwoman Porter reported the
next meeting was scheduled for December 6 and Councilman Bannock would attend
for her.
D-6. Planning & Zoning Commission -- Councilman Bannock reported a
public hearing was held for a day care and was approved. He also noted the
KENAI CITY COUNCIL MEETING
DECEMBER 5, 2001
PAGE 4
Commission's consent agenda had a number of Home Occupation Permits on it and
explained these were a result of the new fire inspection requirements.
D-7. Miscellaneous Commissions and Committees
D-7a. Beautification Committee -- Councilwoman Swarner noted the regular
December meeting was cancelled by council.
D-7b. Kenai Convention & Visitors Bureau Board -- Councilman Bookey
reported the next meeting was scheduled for Monday, December 10 and that Ricky
Gease had been appointed as the new executive director.
D-7c. Alaska Municipal League Report -- Councilwoman Swarner passed out
a copy of information she received at a workshop regarding economic development
strategic planning and requested council review the information and discuss it in
January. Councilman Moore reported he attended two workshops at AML; one on
homeland defense and the other, water issues for rural communities. Councilwoman
Jackman reported she attended the Newly Elected Officials Seminar and found the
information useful and interesting.
Williams referred to a copy of the "Citizen Information Kit" which he distributed to
council. He noted, the information discussed how to go forward and develop a plan for
finances and operations. He also reported the city was again presented an AML Award
of Excellence in regard to the public -private partnership developed to build the new
Public Health Center in Kenai. Williams stated he would present the award to the
Health Center and request it be hung there.
It was also reported Pete Sprague of Soldotna was elected as the area's representative
to the AML Board of Directors.
ITEM E: MINUTES
E-1., Regular Meeting of November 21, 2001.
Approved by consent agenda.
ITEM F: CORRESPONDENCE -- None
ITEM G: OLD BUSINESS -- None
ITEM H: NEW BUSINESS
H-1. Bills to be Paid, Bills to be Ratified
MOTION:
KENAI CITY COUNCIL MEETING
DECEMBER 5, 2001
PAGE 5
Councilwoman Swarner MOVED to pay the bills and Councilwoman Porter
SECONDED the motion. There were no objections. SO ORDERED,
H-2. Purchase Orders Exceeding $2,500
MOTION:
Councilwoman Swarner MOVED to approve the purchase orders exceeding $2,500
and Councilman Moore SECONDED the motion. There were no objections. SO
ORDERED,
H-3. Discussion -- Schedule Joint Work Session with Airport Commission to
Further Discuss Airport Operations and Taxation.
Council reviewed a memorandum from City Clerk Freas which was included in the
packet and suggested the regular Commission be held and then the work session as
there were several items of business to which the Commission needed to attend.
Council had no objections.
City Manager Snow reported she, Commission Chair Knackstedt and Commission
Member Van Zee traveled to Anchorage to attend a Master Plan development meeting
for the Anchorage Airport. At the meeting, the consultant discussed alternatives
Anchorage would be considering to develop a new north/ south runway, a new apron,
and increasing capacity, etc. She noted Kenai was mentioned several times during the
meeting when it was suggested Kenai might like the airfreight traffic from the
Anchorage airport. Snow also reported she learned there were no plans for the Kulis
Air National Guard to relocate.
H-4. Discussion -- Update of City Logo
Clerk Freas reviewed information included in the packet which was requested by
council. The information discussed costs, time, etc. involved in developing a new logo
and copies of letterhead used over the years which indicated several different styles.
Porter requested council go forward and investigate the development of a new logo for
the city and also suggested a committee be formed which would include a student
from one of the local Kenai schools, and if a design is developed from there, then
utilize a graphic artist. Having a contest in the schools was also discussed and
thought to be a favorable idea, as well as a prize for the chosen design.
Williams formed a committee to include Councilwomen Porter and Jackman and City
Clerk Freas.
H-5. Discussion -- Proposed Discounted Pay -Off of Deed of Trust Notes in
McLane Bankruptcy Cases.
KENAI CITY COUNCIL MEETING
� DECEMBER 5, 2001
PAGE 6
Attorney Graves reminded Council, during the bankruptcy case, the McLane's had to
give promissory notes secured by Deeds of Trust on several pieces of property in order
to retain the property. He reported, the notes would be due September, 2004, however
the McLane's had offered to pay them off early ($36 1,000) and proposed a 14%
discount ($3 10,000) for an early payoff. He added, after administrative expenses, the
city would receive approximately 60% of the remainder and the bank would receive
40%. Graves stated he discussed the issue with the city manager and finance director
and they all agreed they would recommend the city oppose the early payoff because
they felt the 14% payoff rate was too high for the early payoff and the Deed of Trust
notes were eight percent. If the money was reinvested at this time, it would bear
about four percent interest. From a business point of view, they did not feel it would
be a good business decision and because the property is currently over -secured, they
did not feel there was a risk.
MOTION:
Councilwoman Swarner MOVED for council to follow Administration's
recommendations and Councilman Bookey SECONDED the motion. There were no
objections. SO ORDERED.
H-6. Discussion -- Schedule City Clerk, City Attorney and City Manager
Evaluations.
Swarner noted the evaluations had not been done during the last budget season and
felt they should be done as soon as possible. Council set the city clerk and city
attorney evaluations for the December 19, 2001 council meeting and the city
manager's for the January 2, 2002 council meeting.
ITEM I: ADMINISTRATION REPORTS
Mayor -- Mayor Williams noted the following:
• Requested a Council/ Planning & Zoning Commission work session on
Wednesday, January 19, beginning at 6:00 p.m. immediately prior to the council
meeting. The purpose of the work session will be to hear a presentation regarding the
Central Peninsula General Hospital Master Plan and the impacts the Hospital's future
development will have on the City of Kenai, as well as the Kenai Peninsula. He would
also like notices be forwarded to all other members of commissions and committees.
Council had no objections to scheduling the work session.
• Due to funds that will become available for homeland defense, he
discussed the possibility of a new National Guard Armory being built in Kenai with the
persons in command of the National Guard in Alaska (Generals Oates and Korenek)
while in Anchorage. Williams stated his desire to have the generals come to Kenai and
tour many of the facilities in the City and discuss the possibility and need for a new
armory to be built in Kenai which would be closer to the airport for homeland security
purposes.
KENAI CITY COUNCIL MEETING
\� DECEMBER 5, 2001
PAGE 7
Williams suggested a community lunch be held by the city with 25-30 invitees and
requested administration to provide information on property that was set aside for the
Air National Guard's use years ago and not used. Williams suggested, if a new armory
is built, the old armory could be turned over to the city and used as a community
center. A brief discussion followed regarding funds in the Legislative budget to cover
the costs of the luncheon. There were no objections from council.
• Reported that he, Councilwoman Swarner, Councilman Moore and
Assistant Fire Chief Tilly toured the Anchorage Emergency Operations Center during
the AML Conference. Williams reminded council a letter requesting funding to equip
and put into operation the city's emergency operation center at the ARFF building was
recently forwarded to Senator Stevens. Williams suggested a draft resolution
supporting the city's request for funding be prepared and sent to other cities on the
Peninsula for their consideration. Council had no objections.
I-2. City Manager -- City Manager Snow reported she attended the Alaska
Municipal Managers Association meeting at AML and attended several very interesting
presentations regarding design/build projects, public and electronic record
management procedures and the AML Investment Pool.
I-3. Attorney -- Attorney Graves reported he attended the Alaska Municipal
Attorneys Association meeting at AML. While there, he discussed the traffic fine
collection program with other municipal attorneys. Graves also reported he would be
participating in the Kenai Peninsula School District's Mentoring Program.
I-4. City Clerk -- Clerk Freas referred to a letter from the American Legion
(included in the packet) requesting the city advertise in the Legion's program for the
83rd Annual Department Convention for the American Legion which would be held in
Kenai in April. Freas noted no funds were included in the Legislative budget for this
purpose and asked if council wished to purchase advertising.
MOTION:
Councilwoman Porter MOVED to purchase a full -page ad and donate city pins for this
purpose. Councilwoman Swarner SECONDED the motion and requested UNANIMOUS
CONSENT. There were no objections. SO ORDERED.
I-5. Finance Director -- Finance Director Semmens reported he reviewed the
power rates discussed at a previous meeting and found they had dropped slightly.
I-6. Public works Managers
Kornelis: No report.
La Shot: Reported the ice was in at the multi -purpose facility and noted it was
typical to do break-in tests and train for the new refrigeration equipment, however the
cold weather precluded that process at this time.
KENAI CITY COUNCIL MEETING
DECEMBER 5 2001
PAGE 8
I-7. Airport Manager -- Airport Manager Cronkhite had no report, however
Councilwoman Porter stated her concerns with the new parking restrictions and traffic
pattern for in front of the airport terminal. Cronkhite explained, the FAA had not
given clear definition of what restrictions were to be used by airports of Kenai's size
and they were trying to be as lax as prudent. Because there had been some problems
with people following the traffic flow and parking, they were hoping to improve the
patterns through lighted signs with diagrams noting how to park, etc. so that it
wouldn't be necessary to hire people to direct the flow on a 24-hour basis. Cronkhite
also reported the issue would be discussed at the Airport Commission level for added
input.
Also discussed were concerns the current patterns were cumbersome, an
inconvenience to the patrons and that they were not developed pursuant to FAA
guidelines/restrictions. Bookey stated he wanted the maximum security with the
complacency for the community.
ITEM J: DISCUSSION
J-1. Citizens
Robert Ruffner -- Reported the Kenai Peninsula Borough would be receiving
funding for impacts brought by the dip net fishing program. He noted, a resolution
appropriating the funding would come forward on the Assembly's agenda on January
8, 2002. City Manager Snow was requested to prepare a letter supporting the
resolution.
J-2. Council --
Bookey -- No comments.
Swarner -- Referred to Information Item No. 3, the Cook Inlet RCAC newsletter,
and noted Joe Gallagher spoke at AML about their organization's activities. She
encouraged they bring their presentation to council in the near future.
Moore -- No comments.
Porter -- Requested council to approve a "day -off -with -pay" as a door prize for
the employee appreciation dinner.
MOTION:
Councilwoman Porter MOVED to approve a day -off -with -pay and Councilman Moore
SECONDED the motion. There were no objections. SO ORDERED.
Porter also requested council to consider personally donating door prizes for the
dinner and would be getting in touch with them individually to that regard.
Bannock -- No comments.
Jackman -- No comments.
l KENAI CITY COUNCIL MEETING
DECEMBER 5, 2001
PAGE 9
EXECUTIVE SESSION -- Possible executive session to discuss proposed discounted
pay-off of Deed of Trust notes in McLane bankruptcy cases -- Not held.
ITEM K: ADJOURNMENT
The meeting adjourned at approximately 8:55 p.m.
Minutes transcribed and prepared by:
Carol L. Freas, City Clerk